House File 2299 - Introduced HOUSE FILE 2299 BY WINDSCHITL A BILL FOR An Act relating to the exclusion of veterans’ disability 1 compensation from the claims of creditors and in calculating 2 property disposition and support obligations. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5831YH (4) 83 rh/nh

H.F. 2299 Section 1. Section 252B.7A, Code 2009, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 1A. Disability compensation received 3 by a party from the United States department of veterans’ 4 affairs for service-related injuries shall not be considered 5 income for the purposes of determining a parent’s income under 6 this section. For purposes of this subsection, “disability 7 compensation” includes disability compensation received by a 8 retired servicemember who has waived military retirement pay 9 pursuant to 38 U.S.C. § 5305. 10 Sec. 2. Section 598.11, Code 2009, is amended by adding the 11 following new subsection: 12 NEW SUBSECTION . 4. The court shall not consider disability 13 compensation received by a party from the United States 14 department of veterans’ affairs for service-related injuries 15 in determining the amount of temporary support awarded under 16 this section. For purposes of this chapter, “disability 17 compensation” includes disability compensation received by a 18 retired servicemember who has waived military retirement pay 19 pursuant to 38 U.S.C. § 5305. 20 Sec. 3. Section 598.13, Code 2009, is amended by adding the 21 following new subsection: 22 NEW SUBSECTION . 3. Disability compensation, as described 23 in section 598.11, subsection 4, received by a party from 24 the United States department of veterans’ affairs for 25 service-related injuries shall not be considered income or 26 property for the purposes of disclosing the financial status 27 of such party. 28 Sec. 4. Section 598.21, Code Supplement 2009, is amended by 29 adding the following new subsection: 30 NEW SUBSECTION . 6A. Veterans’ disability 31 compensation. Disability compensation, as described in section 32 598.11, subsection 4, received by a party from the United 33 States department of veterans’ affairs for service-related 34 injuries shall not be considered property for the purposes of 35 -1- LSB 5831YH (4) 83 rh/nh 1/ 3

H.F. 2299 this section. 1 Sec. 5. Section 598.21A, Code 2009, is amended by adding the 2 following new subsection: 3 NEW SUBSECTION . 3. Veterans’ disability 4 compensation. Disability compensation, as described in section 5 598.11, subsection 4, received by a party from the United 6 States department of veterans’ affairs for service-related 7 injuries shall not be considered income for the purposes of 8 this section. 9 Sec. 6. Section 598.21B, subsection 2, paragraph b, Code 10 Supplement 2009, is amended by adding the following new 11 subparagraph: 12 NEW SUBPARAGRAPH . (4) For purposes of calculating a support 13 obligation under this section, disability compensation, as 14 described in section 598.11, subsection 4, received by a party 15 from the United States department of veterans’ affairs for 16 service-related injuries shall not be considered income. 17 Sec. 7. Section 598.21C, Code Supplement 2009, is amended by 18 adding the following new subsection: 19 NEW SUBSECTION . 1A. Veterans’ disability 20 compensation. Changes in the amount of disability compensation, 21 as described in section 598.11, subsection 4, received by a 22 party from the United States department of veterans’ affairs 23 for service-related injuries shall not be considered a 24 substantial change in circumstances for the purposes of this 25 section. 26 Sec. 8. Section 627.6, subsection 8, paragraph b, Code 2009, 27 is amended to read as follows: 28 b. A veteran’s benefit including disability compensation 29 received by the debtor from the United States department of 30 veterans’ affairs for service-related injuries . For purposes 31 of this paragraph, “disability compensation” includes disability 32 compensation received by a retired servicemember who has waived 33 military retirement pay pursuant to 38 U.S.C. § 5305. 34 Sec. 9. NEW SECTION . 627.14 Veterans’ disability 35 -2- LSB 5831YH (4) 83 rh/nh 2/ 3

H.F. 2299 compensation. 1 Any disability compensation received by a person from 2 the United States department of veterans’ affairs for 3 service-related injuries is exempt from garnishment, 4 attachment, execution, and assignment of income, except for 5 the purposes of enforcing child, spousal, or medical support 6 obligations. For purposes of this section, “disability 7 compensation” includes disability compensation received by a 8 retired servicemember who has waived military retirement pay 9 pursuant to 38 U.S.C. § 5305. 10 EXPLANATION 11 This bill excludes from the claims of creditors and the 12 calculation of property disposition and support obligations 13 under dissolution of marriage and child support determinations, 14 disability compensation received by a party from the United 15 States department of veterans’ affairs for service-related 16 injuries including disability compensation received by a 17 retired servicemember who has waived military retirement pay 18 pursuant to 38 U.S.C. § 5305. United States department of 19 veterans’ affairs disability compensation, in general, is a 20 benefit paid to a veteran due to injuries or diseases that were 21 incurred in or aggravated by military service. 22 The bill also excludes such disability compensation from 23 garnishment, attachment, execution, and assignment of income, 24 except for the purposes of enforcing child, spousal, or medical 25 support obligations. 26 -3- LSB 5831YH (4) 83 rh/nh 3/ 3